The Senate voted 90-6 to pass a short-term measure that would extend current funding levels through December 11th. The legislation would prevent a lapse in funding for federal agencies, when current government funding expires on September 30th, the end of fiscal year 2026.
Senate passage came after the House passed a separate stopgap measure (H.R. 9770) that would extend funding until December 4th. Since each chamber approved a different version of the legislation, the chambers must reconcile those differences before a final measure can be cleared for the President’s signature.
The continuing resolution (CR) through December 11th would generally maintain the IRS’s FY2026 funding level of $11.2 billion, which is roughly 9% below the prior fiscal year. By comparison, that funding level exceeds both the administration’s FY2027 request of $9.8 billion and the approximately $10.2 billion provided in the House Appropriations Committee’s version.
There are two takeaways…
1 – Bipartisan support for any stopgap measure this close to the midterms is surprising. One would presume that given what’s at stake, this wouldn’t receive support from both sides of the aisle.
It would be easier to expect another government shutdown so that one side or the other could gain some last minute political points?
2 – The IRS is being funded at current levels. That means it will be just as hard to get anyone on the phone to accomplish even the simplest of tasks.
Letter writing will need to continue with the ridiculous wait times for an IRS response.
Let me leave you with this…
The IRS recently made business tax accounts accessible to millions of new entities and is adding new features to the accounts. The updates give eligible businesses more ways to view digital notices, make payments, and provides access to additional federal tax account information online.
Business tax accounts provide an online self-service platform that allows authorized users to securely access and manage their federal tax records and information. Recently added notices include…
1 – CP081B – We May Have A Refund For You
2 – CP211A – Application To File Extension Of Time Approved
3 – CP134R – Federal Tax Deposits Discrepancy – Due A Refund
4 – And Several Others
Designated officials can now download a verification for an employer identification number (EIN), which can be used instead of the letter the Service now commonly sends.
Other changes allow those with access to a business tax account to view an existing payment plan’s balance and other details, make a payment toward that plan, and to submit payments for an offer in compromise.
I hope that all of you are detecting a theme. With fewer people working at the IRS, they’re moving much more into digital services.
What choice do they have? This, of course, makes our job that much more difficult.
It’s difficult to argue with a computer, especially when the computer is the problem.
There was a time 30 short years ago, when receiving a letter from the IRS or any of the states was a rarity. But now, since most of the letters we receive are automatically generated by computer systems without any human oversight whatsoever, the ridiculous mistakes we’re asked to correct are illogical, unreasonable, and sophomoric at best.
Only a dumb computer could come up with most of this drivel. And you can’t get anyone on the phone at the Service’s 800 number.
So, the letter writing must continue. Be patient when you receive a letter and realize that most of the time this is through no fault of yours or ours.
It’s just a dumb computer doing what dumb computers do.
As always, if you’re having problems with your accounting and tax work, click the button below to schedule time on my calendar. We’d love to help.
We’re all going to get through this. Let’s get through it together..
Accounting Solutions Ltd. stands ready to complete our mission and purpose of protecting you, your family, and your business. Whether you need Payroll Services, Accounting and Tax Work, Tax Planning, or Tax Representation, you have but to ask. I’m here and I remain,
Sincerely yours,
Chris Amundson
President
Accounting Solutions Ltd.
773-267-7500
888-310-0300
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